Executive Summary

The Thailand-Cambodia border conflict, which dramatically escalated in July 2025, represents the most severe military confrontation between Southeast Asian nations in over a decade. Following initial skirmishes in May 2025, the dispute erupted into five days of intense warfare in late July, resulting in at least 38-48 deaths, over 300,000 displaced civilians, and the temporary suspension of $5.4 billion in annual bilateral trade. While a ceasefire brokered by Malaysia and supported by the United States took effect on July 28, the agreement has proven fragile, with renewed violence erupting on December 7-8, 2025. This conflict not only threatens regional stability but also exposes critical vulnerabilities in ASEAN’s conflict resolution mechanisms and regional economic integration.


1. Background & Historical Context

Colonial Legacy and Border Demarcation

The roots of the current conflict trace back over a century to the Franco-Siamese treaties of 1904 and 1907. These colonial-era agreements established the border between French Indochina (modern Cambodia, Laos, and Vietnam) and the Kingdom of Siam (modern Thailand). The 1904 treaty stipulated that the frontier in the Dangrek Mountains region would follow the watershed line—a principle that should have placed most disputed temples on Thai territory.

However, French surveyors produced maps that deviated from this watershed principle, placing several ancient Khmer temples, including the renowned Preah Vihear temple, on the Cambodian side. The Siamese government never formally objected to these maps at the time, a silence that would have profound legal consequences decades later.

The International Court of Justice Ruling (1962)

In 1959, Cambodia brought its complaint to the International Court of Justice after Thailand stationed troops at Preah Vihear temple in 1954. The ICJ’s landmark 1962 ruling favored Cambodia based on the legal principle of acquiescence—since Siam had accepted other parts of the border treaty and never protested the French maps, it was deemed to have accepted them. Thailand was ordered to withdraw military forces and return artifacts removed from the site.

While this ruling awarded the temple to Cambodia, it did not clarify the status of surrounding areas, particularly a disputed 4.6-square-kilometer zone. This ambiguity has fueled recurring tensions, as Thailand has never fully accepted the ruling and continues to view portions of the border as contested.

Cycles of Conflict

The dispute has erupted into violence multiple times:

  • 1970s-1990s: Civil war in Cambodia effectively froze the dispute
  • 2008-2011: Renewed conflict triggered by Cambodia’s successful UNESCO World Heritage listing of Preah Vihear temple, resulting in at least 16 deaths and 36,000 displaced persons
  • 2013: ICJ interpretation ruling further clarified Cambodia’s sovereignty over the disputed promontory
  • 2025: Most severe escalation in over a decade

Domestic Political Dimensions

The conflict is deeply intertwined with domestic politics in both nations:

Thailand: Ultra-nationalist groups, particularly the “Yellow Shirts,” have historically used border disputes to challenge governments perceived as weak on sovereignty issues. The suspension and firing of Prime Minister Paetongtarn Shinawatra following a leaked phone call with former Cambodian leader Hun Sen created a leadership vacuum that complicated diplomatic efforts.

Cambodia: The ruling Cambodian People’s Party, led by Prime Minister Hun Manet (son of long-time leader Hun Sen), views control of Khmer heritage sites as essential to nationalist legitimacy and its claim as the successor state to the ancient Khmer Empire.


2. The 2025 Escalation: Timeline of Events

May 28, 2025: Initial Spark

A brief skirmish occurred in the Chong Bok area of Ubon Ratchathani Province during routine Thai border patrols. One Cambodian soldier was killed. Both nations accused the other of initiating hostilities and began military reinforcements along the 817-kilometer border.

June 2025: Failed Diplomacy

  • June 4: Thailand released a government statement affirming commitment to peaceful resolution through existing bilateral mechanisms
  • June 14-15: Joint Boundary Commission meeting in Phnom Penh produced no definitive solution
  • June 18: Hun Sen released a politically damaging recording of a phone call with PM Paetongtarn, in which she pressed for peaceful resolution, accelerating the crisis

July 24-28, 2025: Five Days of War

The conflict exploded into full-scale military engagement:

Day 1 (July 24): According to Thai sources, Cambodian forces opened fire on Thai positions near the Prasat Ta Muen Thom temple complex at approximately 8:30 AM. Fighting quickly spread to six other border points including Preah Vihear, Ta Krabey, Chong Bok, Chong An Ma, and Chong Jom.

Military Operations:

  • Thailand deployed F-16 fighter jets to strike Cambodian rocket launch sites and command centers
  • Both sides exchanged heavy artillery fire and BM-21 rockets
  • Civilian casualties mounted on both sides, with Thailand reporting at least one soldier killed and four wounded initially

Humanitarian Crisis:

  • Over 300,000 civilians evacuated from border regions
  • More than 1,200 schools closed
  • Essential infrastructure damaged
  • At least 38-48 people killed (casualty figures vary by source)

Economic Impact:

  • All border crossings closed
  • $5 billion in cross-border trade frozen
  • Initial damage and evacuation costs exceeded $307 million in first five days

July 28, 2025: Ceasefire Agreement

Under intense international pressure, particularly from US President Donald Trump, who threatened 36% tariffs on both nations, Thailand and Cambodia agreed to a ceasefire brokered by Malaysian Prime Minister Anwar Ibrahim in Kuala Lumpur. Key provisions included:

  • Immediate cessation of hostilities
  • Withdrawal of heavy artillery and armored vehicles from contested areas
  • Establishment of ASEAN observer teams to monitor compliance
  • Bilateral cooperation on landmine clearance
  • Formation of joint task force to address transnational crime
  • Release of 18 Cambodian prisoners of war

President Trump played a decisive role, using economic leverage to force both parties to negotiations. The US subsequently reduced tariffs from 36% to 19% in early August.

October 26, 2025: Expanded Peace Agreement

A more comprehensive peace accord was signed in Kuala Lumpur, witnessed by President Trump and Malaysian PM Anwar Ibrahim. This “Kuala Lumpur Peace Accord” aimed to provide a long-term framework for peace and border demarcation.

November 2025: Agreement Unravels

Within weeks of the October signing, the ceasefire began fraying:

  • November 11: A Thai soldier lost his foot to a landmine in Sisaket province—the seventh amputation case since May
  • Thailand accused Cambodia of laying new mines in disputed areas
  • Thailand suspended implementation of the ceasefire agreement

December 7-8, 2025: Renewed Hostilities

The conflict reignited with deadly force:

December 7: A 35-minute firefight erupted in the Phu Pha Lek–Phlan Hin Paet Kon area of Sisaket Province, injuring two Thai soldiers. Cambodia accused Thailand of firing first; Thailand blamed Cambodian forces for using recoilless rifles.

December 8: Thailand launched new air strikes along the disputed border in Ubon Ratchathani province, marking a significant escalation. At least one Thai soldier was killed and four wounded. Thailand accused Cambodia of breaching the ceasefire; Cambodia claimed Thai forces launched “dawn attacks” unprovoked.

Over 385,000 Thai civilians across four border districts were ordered to evacuate, with 35,000 housed in temporary shelters. ASEAN observer teams were notified, but the mechanism proved insufficient to prevent escalation.


3. Current Situation Assessment (December 2025)

Military Posture

  • Thailand: Maintaining high alert status with air force on standby; constructing defensive infrastructure including bunkers and barbed wire fencing
  • Cambodia: Reportedly deploying Chinese-supplied military equipment including QW-3 Vanguard missiles; accused by Thailand of deliberately provoking incidents
  • Contested Zones: Multiple undemarcated areas remain militarized, including Preah Vihear, Ta Muen Thom, Ta Krabey, and Chong Bok

Diplomatic Status

  • Both nations continue to accuse each other of ceasefire violations
  • Trust between governments has eroded significantly
  • Thailand insists on bilateral mechanisms (Joint Boundary Commission)
  • Cambodia more open to international mediation, having approached the UN Security Council
  • ASEAN observer mechanism activated but proving ineffective at preventing violence

Humanitarian Situation

  • Hundreds of thousands remain displaced or living under evacuation orders
  • Landmine contamination creating long-term civilian safety hazards
  • Schools closed for extended periods in border provinces
  • Mental health impacts on affected communities

Economic Disruption

  • Border trade remains severely constrained
  • Alternative supply routes through Laos and Vietnam are 30% more expensive and 40% slower
  • Tourism to heritage sites has collapsed (70% decline at Preah Vihear)
  • Approximately 1.2 million Cambodian migrant workers in Thailand face uncertain status

4. Key Drivers of the Conflict

Structural Factors

1. Unresolved Border Demarcation Approximately 817 kilometers of border have never been jointly surveyed and demarcated. Different cartographic methods and colonial-era maps create fundamental disagreements about where the actual boundary lies. Thailand uses its own detailed charts while Cambodia relies on French colonial maps, creating irreconcilable positions.

2. Strategic Resource Competition Disputed areas may contain valuable natural resources and provide strategic military advantages. Control of high ground, particularly around temple sites on cliff tops, offers tactical superiority.

3. Nationalist Narratives Both countries have constructed national identities partly around the border dispute:

  • Cambodia views ancient Khmer temples as sacred cultural heritage and symbols of the great Angkor civilization
  • Thailand sees defending territorial integrity as tied to monarchist loyalty and national security

4. Weak Regional Conflict Resolution ASEAN’s principle of non-interference and lack of enforcement mechanisms means bilateral disputes often escalate before the organization can effectively intervene.

Proximate Triggers

1. Landmine Incidents Repeated landmine explosions injuring Thai soldiers created public pressure for military response. Thailand accuses Cambodia of deliberately planting new mines; Cambodia denies this.

2. Domestic Political Instability Leadership transitions and domestic political crises in Thailand have created opportunities for military factions and nationalist groups to influence policy.

3. Infrastructure Development Road construction and military fortification projects near disputed areas are interpreted as provocations by the other side.

4. Social Media and Information Warfare Viral videos of patriotic songs and military preparations inflame nationalist sentiment, making diplomatic compromise politically costly.


5. Regional and International Dimensions

ASEAN’s Role and Limitations

Successes:

  • Malaysia, as 2025 ASEAN Chair, successfully brokered initial ceasefire within days
  • Deployment of ASEAN observer teams represented unprecedented regional involvement
  • Regional diplomatic pressure contributed to de-escalation in August

Critical Failures:

  • Observer mechanism lacked enforcement capacity to prevent renewed fighting
  • No clear protocol for intervention when ceasefire violations occur
  • Treaty of Amity and Cooperation’s High Council never activated
  • Conflict exposes ASEAN’s inability to manage conventional security disputes among members

Broader Implications: The conflict is viewed as a litmus test for ASEAN credibility. If the organization cannot resolve a military crisis between its own members, its claims to regional leadership and centrality are fundamentally undermined. According to recent surveys, 35% of regional respondents believe ASEAN is “too slow and ineffective” in addressing fast-moving challenges.

Great Power Involvement

United States:

  • President Trump used economic coercion effectively to force July ceasefire
  • Secretary of State Marco Rubio has called for both parties to honor commitments
  • Thailand is a US treaty ally, complicating potential US neutrality
  • Trump administration views Southeast Asia stability as important for Indo-Pacific strategy

China:

  • Cambodia is aligned closely with China diplomatically and economically
  • China reportedly supplying military equipment to Cambodia
  • Beijing has supported Cambodian position while calling for peaceful resolution
  • Sees opportunity to demonstrate influence in ASEAN affairs

Other Regional Powers:

  • Japan: Expressed deep concern; both nations are key economic partners
  • Singapore: Called for diplomatic resolution and restraint
  • Indonesia: Notably absent from leading mediation efforts despite traditional ASEAN leadership role
  • Vietnam and Philippines: Issued statements of concern but avoided taking sides

UN Security Council

Cambodia requested an emergency UNSC meeting on July 25, 2025. All 15 member states urged de-escalation and supported ASEAN-led mediation. However, the UNSC took no concrete enforcement action, deferring to regional mechanisms.


6. Economic Impacts

Bilateral Trade Disruption

Pre-Conflict Trade Volume: $10.45 billion (2024)

  • Thailand held a $3 billion trade surplus
  • Trade represented 8% of Cambodia’s total foreign trade vs. 2% for Thailand
  • Key Thai exports to Cambodia: fuel, electricity, vehicles, electronics, fertilizers, consumer goods
  • Key Cambodian exports to Thailand: cassava, agricultural products

Direct Impacts:

  • Complete border closure from July 24-28, estimated cost: $307 million in first five days alone
  • Ongoing restrictions estimated at 10 billion baht ($280 million) per month in losses
  • Energy trade halted: Thailand’s $1.5 billion oil exports to Cambodia suspended
  • 70% drop in tourism to Preah Vihear temple complex
  • Agricultural exports severely disrupted (Cambodia lost $130 million in cassava exports)

Supply Chain Reconfiguration

Logistics Crisis:

  • Alternative routes through Laos and Vietnam add 30% to transportation costs and 40% to transit times
  • Seven major border crossings remain closed or operating at reduced capacity
  • Thai-Cambodian Friendship Bridge now operating at 60% capacity
  • Companies forced to stockpile inventory or relocate production

Beneficiaries:

  • Singapore-based logistics firms (Pan-Asia Freight) charging premium rates for rerouting
  • Vietnamese and Singaporean energy suppliers filling Cambodia’s fuel gap
  • Malaysian logistics companies (Maylong Logistics) capturing diverted trade

Vulnerabilities Exposed:

  • Over-concentration in bilateral supply chains for critical inputs
  • Fragility of ASEAN economic integration when political tensions rise
  • Inadequacy of just-in-time manufacturing models in conflict-prone regions

Sectoral Impacts

Manufacturing:

  • Honda and other companies with cross-border facilities face disruption
  • Auto parts industry particularly affected due to integrated regional production
  • Electronics manufacturing delayed by component shortages

Agriculture:

  • Cambodian farmers losing 20-30% of crop value due to Vietnamese monopoly pricing replacing Thai buyers
  • Thai fertilizer exports to Cambodia ($41 million annually) halted, benefiting Vietnamese competitors
  • Cambodia’s 63-76% agricultural employment in border provinces severely impacted

Energy:

  • Thailand’s state-owned PTT Group lost significant revenue from suspended exports
  • Cambodia forced to diversify to Singapore (Petronas) and Vietnam (Petrovietnam)
  • Long-term shift may permanently alter regional energy trade patterns

Tourism:

  • Thai tourism sector (12% of GDP) saw 15% decline in Chinese arrivals
  • Cambodia’s tourism (9% of GDP) hit harder with 70% drop at key heritage sites
  • Border province gambling and informal trade sectors collapsed

Labor and Remittances:

  • 1.2 million Cambodian workers in Thailand facing uncertainty
  • $1 billion in annual remittances at risk
  • Mass return would overwhelm Cambodia’s job market (only 100,000 openings available)
  • Household debt stress increasing without remittance income

Infrastructure Projects Delayed

Chinese-backed initiatives:

  • Cambodia high-speed rail project facing delays
  • Thailand’s Eastern Economic Corridor (EEC) investment confidence eroded
  • Cross-border connectivity projects suspended

ASEAN Regional Projects:

  • ASEAN Connectivity Master Plan 2025 (MPAC 2025) implementation threatened
  • Thailand’s Pacific-to-Indian Ocean Land Bridge ($1 trillion corridor) delayed
  • Regional economic integration timelines pushed back

7. Singapore’s Direct and Indirect Impacts

Direct Economic Effects

Trade Diversion Benefits: Singapore-based companies have emerged as beneficiaries of the conflict:

  • Logistics sector: Pan-Asia Freight and other Singapore logistics firms capturing rerouted cargo at premium rates (30% surcharge)
  • Energy trading: Singapore’s refined petroleum products filling Cambodia’s fuel gap, replacing Thai supplies
  • Port operations: Increased throughput as maritime routes substitute for closed land borders
  • Supply chain services: Singapore’s position as regional supply chain hub strengthened as companies seek more stable routing

Financial Services:

  • Increased hedging activity for companies with Thailand-Cambodia exposure
  • Risk assessment and political risk insurance demand rising
  • Trade finance flows redirected through Singapore banks

Indirect Strategic Implications

ASEAN Leadership Vacuum: Singapore, as a traditionally influential ASEAN voice, faces a dilemma. Indonesia’s notable absence from mediation efforts creates space for smaller nations like Singapore to play constructive roles, but Singapore must balance:

  • Supporting ASEAN unity and conflict resolution mechanisms
  • Maintaining strong bilateral relations with both Thailand and Cambodia
  • Avoiding perception of taking sides in the dispute

Regional Security Architecture: The conflict demonstrates that ASEAN’s security framework remains inadequate for managing interstate disputes. Singapore has long advocated for stronger regional institutions, and this crisis may provide impetus for:

  • Enhanced early warning mechanisms
  • More robust observer and peacekeeping capabilities
  • Clearer protocols for conflict intervention

Supply Chain Resilience: Singapore’s economy depends heavily on regional stability and integrated supply chains. The conflict reinforces Singapore’s strategic imperative to:

  • Diversify trade routes and partnerships beyond ASEAN
  • Invest in digital trade infrastructure less vulnerable to border closures
  • Promote economic interdependence as a peace-building mechanism

Geopolitical Considerations

Great Power Competition: Singapore must navigate carefully between US and Chinese interests:

  • The US (Singapore’s security partner) backed Thai ally through Trump’s mediation
  • China (Singapore’s largest trading partner) supports Cambodian position
  • Singapore’s neutrality and credibility as mediator could be valuable but politically costly

ASEAN Centrality: Singapore has consistently championed ASEAN’s central role in regional architecture. The Thailand-Cambodia conflict threatens this:

  • If ASEAN fails to resolve the crisis, external powers may bypass the organization
  • Successful ASEAN mediation would validate Singapore’s vision of regional leadership
  • Failure could accelerate great power competition in the region

Tourism and Business Confidence

Regional Tourism Flows: Singapore serves as a major hub for tourists visiting Southeast Asia. Conflict in mainland ASEAN:

  • May redirect some tourism traffic to Singapore
  • But overall regional instability reduces tourist confidence in Southeast Asia as a destination
  • Singapore’s tourism recovery from COVID could be threatened by regional insecurity

Investment Climate:

  • Foreign investors view regional stability as critical for ASEAN investment decisions
  • Instability in Thailand-Cambodia corridor may cause investors to consolidate activities in Singapore
  • However, broader regional conflict risks reduce overall FDI flows to Southeast Asia
  • Singapore’s status as a safe haven in a turbulent region may be reinforced

Business Operations: Many multinational corporations use Singapore as regional headquarters while operating across ASEAN. The conflict creates:

  • Increased insurance and security costs for regional operations
  • Need for more complex risk management and scenario planning
  • Pressure to diversify operations away from conflict zones
  • Opportunity for Singapore-based service providers (legal, consulting, logistics)

8. Outlook: Scenarios for 2025-2026

Scenario 1: Managed De-escalation (40% probability)

Pathway: International pressure, particularly from Trump administration threatening sustained tariffs, forces both parties back to negotiating table. ASEAN deploys enhanced observer mechanism with more robust mandate. Joint Boundary Commission meetings in early 2026 produce framework agreement on phased border demarcation.

Indicators to watch:

  • Successful JBC meetings with concrete deliverables
  • ASEAN consensus on strengthened observer mandate
  • US maintenance of tariff leverage
  • Leadership stability in both countries
  • No major landmine incidents for 3+ months

Implications:

  • Gradual border reopening over 6-12 months
  • Trade recovery beginning Q2 2026
  • Tourism slow to return due to lingering security concerns
  • Foundation laid for long-term border settlement
  • ASEAN credibility partially restored

Scenario 2: Frozen Conflict (35% probability)

Pathway: Current ceasefire holds in fragile form, but neither side willing to make territorial concessions. Border remains militarized with periodic skirmishes. Trade and civilian movement severely constrained. Dispute becomes protracted like Kashmir or Cyprus.

Indicators to watch:

  • Repeated ceasefire violations without full-scale warfare
  • Military buildups continuing near border
  • No progress in JBC or diplomatic channels
  • Domestic political incentives in both countries favor hardline stances
  • International attention shifts to other crises

Implications:

  • Permanent economic losses in border regions
  • Supply chains durably reconfigured around conflict zone
  • ASEAN paralyzed on major regional initiatives
  • Opportunity for great power competition to intensify
  • Increased defense spending in both countries
  • Long-term humanitarian crisis in border communities

Scenario 3: Full-Scale War (15% probability)

Pathway: Major incident (assassination, large civilian casualties, perceived invasion) triggers nationalist escalation beyond government control. Air strikes expand to deeper targets. Regional powers drawn in—China supporting Cambodia, US backing Thailand as treaty ally. ASEAN unity fractures.

Indicators to watch:

  • Targeting of population centers or critical infrastructure
  • Mobilization of reserves or declaration of martial law
  • Chinese military advisors arriving in Cambodia
  • US considering activation of defense treaty obligations
  • Mass refugee flows across multiple borders
  • ASEAN emergency summits failing to produce consensus

Implications:

  • Humanitarian catastrophe with tens of thousands of casualties
  • Regional economic crisis as trade networks collapse
  • ASEAN effectively defunct as security organization
  • Major great power confrontation risk
  • Potential for coup or regime change in either country
  • Decade or more of regional instability

Scenario 4: Comprehensive Peace Settlement (10% probability)

Pathway: New leadership in Thailand with strong mandate seeks legacy achievement. Cambodia recognizes economic costs of continued conflict. External mediators (perhaps Singapore, Indonesia, or UN) broker innovative solution involving joint development zones, shared sovereignty over disputed temples, or land swaps.

Indicators to watch:

  • Electoral changes producing moderate governments
  • Economic pressures overwhelming nationalist politics
  • Third-party mediation accepted by both sides
  • International financial incentives for peace deal
  • Public opinion shifting toward peace in both countries
  • Successful confidence-building measures

Implications:

  • Rapid economic normalization and trade recovery
  • ASEAN credibility significantly enhanced
  • Model for resolving other regional territorial disputes
  • Increased foreign investment in both countries
  • Regional integration accelerates
  • US-China cooperation on stabilizing Southeast Asia

9. Short-Term Solutions (0-12 months)

Immediate Confidence-Building Measures

1. Enhanced Ceasefire Monitoring

  • Deploy augmented ASEAN observer teams with clear rules of engagement
  • Include neutral third-party observers (UN, EU, or non-ASEAN Asian nations)
  • Establish 24/7 hotline between military commanders in contested areas
  • Create buffer zones (2-5 km) where neither side conducts armed patrols
  • Real-time communication protocols to prevent misunderstandings

2. Landmine Crisis Resolution

  • Immediate joint declaration halting any new mine placement
  • Emergency third-party mine clearance teams (ICRC, UN Mine Action Service)
  • Transparent information sharing on mine locations
  • Compensation fund for civilian and military victims
  • Fast-track implementation under Ottawa Convention framework

3. Humanitarian Corridors

  • Designated routes for civilian movement and humanitarian aid
  • Repatriation program for displaced persons with safety guarantees
  • Cross-border medical cooperation for conflict-injured
  • School reopening plans in safe areas
  • Psychological support services for affected communities

4. Economic Track

  • Selective reopening of least-contested border crossings (e.g., Aranyaprathet-Poipet for essential goods)
  • Temporary special visa arrangements for migrant workers
  • Business continuity support packages for border-dependent enterprises
  • Compensation mechanisms for economic losses
  • Insurance schemes for cross-border traders

Diplomatic Mechanisms

5. Structured Dialogue Framework

  • Regular foreign minister meetings (monthly minimum) with ASEAN chair mediation
  • Separate military-to-military confidence-building track
  • Expert working groups on specific issues:
    • Border demarcation methodology
    • Joint development zones
    • Cultural heritage management
    • Environmental cooperation
  • Civil society and academic track-two dialogues

6. International Facilitation

  • Appoint special ASEAN envoy with enhanced mandate
  • Consider UN Secretary-General good offices if both parties agree
  • Leverage existing mechanisms: ASEAN Regional Forum, East Asia Summit
  • Engage respected elder statesmen from region as informal mediators
  • Coordinate international community messaging to avoid mixed signals

7. Economic Incentives

  • US tariff relief conditional on maintaining peace
  • Development bank financing for joint infrastructure projects
  • Special economic zone proposals in stable border areas
  • Tourism promotion packages once security improves
  • Trade facilitation assistance from ASEAN Secretariat

Political and Social Measures

8. Nationalist Narrative Management

  • Joint declaration emphasizing shared cultural heritage
  • Academic exchanges and people-to-people programs
  • Social media campaigns promoting peaceful coexistence
  • Government restraint in inflammatory rhetoric
  • Educational curricula emphasizing historical cooperation

9. Domestic Political Strengthening

  • Support for moderate political forces in both countries
  • Electoral assistance to ensure legitimate governments with peace mandates
  • Civil service capacity building for border management
  • Anti-corruption measures to reduce incentives for conflict
  • Media freedom protections to enable informed public debate

10. Legal Framework

  • Reaffirm commitment to existing international legal obligations
  • Establish joint legal committee to interpret contested provisions
  • Consider submitting specific technical questions to ICJ for advisory opinion
  • Temporary interim arrangements without prejudice to final claims
  • Formalize ceasefire terms into written agreement with penalties for violation

10. Long-Term Solutions (1-10 years)

Comprehensive Border Settlement

1. Final Border Demarcation

  • Commission joint technical survey using modern GPS and satellite technology
  • Establish clear methodology reconciling historical maps with geographical realities
  • Set timeline for completing full 817 km demarcation (3-5 years)
  • Agree on principles: watershed, effective control, economic viability, cultural heritage
  • Create permanent bilateral commission for border management
  • Regular reviews and updates as technology improves

2. Innovative Sovereignty Arrangements

Joint Development Zones:

  • Establish 3-5 Joint Development Zones in disputed areas
  • Shared administration and security responsibilities
  • Revenue sharing from economic activities (tourism, resources, agriculture)
  • Template: Thailand-Malaysia Joint Development Area in Gulf of Thailand
  • Special legal status allowing both nations’ laws to apply
  • Sunset clauses with options to extend or convert to full sovereignty

Special Heritage Zones:

  • Preah Vihear and other temples designated as UNESCO-protected peace parks
  • Demilitarized status with international guarantees
  • Joint cultural management committees
  • Revenue from tourism split equitably
  • Educational and research access for both nations
  • Model: Angkor Wat management adapted for contested sites

Land and Maritime Swaps:

  • Identify areas of less strategic or emotional importance for potential exchange
  • Ensure overall territorial balance maintained
  • Include maritime boundary settlement in Gulf of Thailand
  • Create win-win where each side gains something valued
  • Phased implementation with verification

3. Legal and Institutional Framework

Permanent Court of Arbitration:

  • Establish dedicated bilateral arbitration mechanism for future disputes
  • Binding arbitration for technical/legal questions
  • Political/strategic issues subject to negotiation with arbitration as backstop
  • Fast-track procedures for urgent matters
  • Enforcement mechanisms with ASEAN guarantee

Border Management Regime:

  • Modern integrated border management system
  • Joint border posts for efficiency and transparency
  • Coordinated customs, immigration, and security
  • Intelligence sharing on transnational crime
  • Common standards and equipment
  • Regular joint exercises and training

Economic Integration and Interdependence

4. Deep Economic Partnership

Border Economic Zone Development:

  • Large-scale Special Economic Zones along peaceful border segments
  • Preferential investment incentives
  • Advanced manufacturing and logistics hubs
  • Goal: Create prosperity that makes conflict economically irrational
  • Include workforce mobility provisions

Infrastructure Connectivity:

  • Complete Thai-Cambodian Friendship Bridge and develop additional crossings
  • High-speed rail linking Bangkok-Phnom Penh (Chinese funding)
  • Integrated power grids with long-term energy trading agreements
  • Telecommunications and digital infrastructure cooperation
  • Transport corridors connecting to Vietnam and ASEAN highway network

Trade Liberalization:

  • Reduce tariffs and non-tariff barriers beyond ASEAN commitments
  • Sectoral integration in key industries: automotive, electronics, agriculture
  • Mutual recognition of standards and certifications
  • Streamlined customs procedures
  • Joint export promotion to third markets

5. People-to-People Ties

Migration and Labor:

  • Comprehensive labor mobility agreement legalizing Cambodian workers in Thailand
  • Skills recognition and protection of worker rights
  • Pathways to permanent residency
  • Remittance facilitation and financial inclusion
  • Reduce incentive for irregular migration that creates tension

Education and Culture:

  • University exchange programs and joint degrees
  • Shared historical and cultural research initiatives
  • Language training programs (Thai learning Khmer and vice versa)
  • Youth leadership programs emphasizing cooperation
  • Arts and cultural festivals celebrating shared heritage
  • Textbook revisions to present balanced historical narratives

Tourism Development:

  • Joint marketing of Angkorian heritage trail
  • Visa-free travel for nationals
  • Cross-border tourism circuits
  • International heritage designation seeking (UNESCO World Heritage trans-boundary site)
  • Tourism revenue sharing agreements

Regional and International Dimensions

6. ASEAN Institutional Strengthening

Conflict Prevention Mechanism:

  • Activate and strengthen Treaty of Amity and Cooperation High Council
  • Create standing ASEAN peacekeeping capability
  • Early warning system for border tensions
  • Mediation and dispute resolution training
  • Regular confidence-building exercises

Legal Framework:

  • ASEAN territorial dispute resolution protocol
  • Compulsory mediation before escalation
  • Binding arbitration option
  • Enforcement mechanisms with graduated responses
  • Integration with UN Charter obligations

Economic Governance:

  • Strengthen ASEAN Free Trade Area enforcement
  • Penalties for politicizing trade relations
  • Emergency consultation procedures
  • Dispute resolution for economic conflicts
  • Buffer funds for conflict-affected economies

7. Great Power Management

Balanced Engagement:

  • Neither Thailand nor Cambodia should be forced to choose between US and China
  • Encourage cooperative rather than competitive involvement
  • Multilateral frameworks for external support (ASEAN+3, EAS)
  • Transparency in military assistance to prevent arms races
  • Economic development focus over security competition

International Guarantees:

  • Consider formal international guarantees of final border settlement
  • UN Security Council endorsement of peace agreement
  • Regional powers (India, Japan, Australia) as co-guarantors
  • Peacekeeping deployment if requested by both parties
  • International development support linked to peace dividends

Transformational Vision

8. Cambodia-Thailand Peace and Prosperity Corridor

Long-term vision (10+ years) to transform border from conflict zone to cooperation zone:

Infrastructure Spine:

  • Modern highway and rail network the entire length of border
  • Energy and digital infrastructure integration
  • Cross-border cities and economic clusters
  • Environmental conservation areas

Economic Profile:

  • $50+ billion in cross-border trade (5x pre-conflict levels)
  • Integrated manufacturing and logistics hub
  • Regional agricultural processing center
  • Tourism destination attracting 5-10 million annual visitors

Social Integration:

  • Regular cross-border movement for work, study, trade
  • Bilingual regions with cultural mixing
  • Shared identity around border region prosperity
  • Conflict memory preserved but transformed (peace museums, heritage sites)

Governance:

  • Joint border development authority
  • Local autonomy for cross-border cooperation
  • Regular bilateral summits at highest levels
  • Peace dividend investments in education, health, infrastructure

Regional Model:

  • Template for resolving other ASEAN territorial disputes
  • Demonstration of ASEAN’s conflict resolution capacity
  • Example for global disputed borders
  • Economic benefits that incentivize peaceful resolution

11. Recommendations by Stakeholder

For Thailand

  • Immediate: Halt infrastructure construction in disputed areas; agree to enhanced ASEAN monitoring
  • Short-term: Rejoin JBC negotiations without preconditions; address landmine crisis through neutral mediators
  • Long-term: Accept ICJ framework as basis for negotiations; propose joint development zones as face-saving compromise
  • Economic: Provide legal status and protection for Cambodian migrant workers
  • Political: Build domestic coalition for peace emphasizing economic costs of continued conflict

For Cambodia

  • Immediate: Cease alleged landmine placement; accept neutral verification of mine-related incidents
  • Short-term: Demonstrate flexibility on sovereignty in exchange for economic gains
  • Long-term: Offer Thailand meaningful stakes in heritage site development and revenues
  • Economic: Diversify energy and fertilizer imports to reduce vulnerability
  • Political: Frame cooperation as strength, not concession; emphasize win-win outcomes

For ASEAN

  • Immediate: Deploy enhanced observer mission with clear mandate and resources
  • Short-term: Appoint high-level special envoy with sustained mediation effort
  • Long-term: Reform conflict resolution mechanisms to prevent future failures; establish standing peacekeeping capability
  • Institutional: Create binding dispute resolution protocol; strengthen early warning systems
  • Economic: Develop compensation fund for conflict-affected member states

For Singapore

  • Diplomatic: Offer quiet mediation services leveraging relationships with both parties
  • Economic: Facilitate alternative trade routes and supply chain adaptation
  • Regional: Champion ASEAN institutional reforms to address security governance gaps
  • Strategic: Balance US and Chinese interests while maintaining neutrality
  • Business: Support Singapore companies capturing opportunities in logistics, energy, and services

For United States

  • Immediate: Maintain tariff leverage to enforce ceasefire compliance
  • Diplomatic: Coordinate with ASEAN rather than bypassing regional mechanisms
  • Long-term: Provide economic incentives (trade preferences, development assistance) for comprehensive peace
  • Security: Manage alliance obligations to Thailand without antagonizing Cambodia
  • Strategic: Avoid zero-sum competition with China; seek cooperative stabilization

For China

  • Immediate: Encourage Cambodian restraint and ceasefire adherence
  • Economic: Offer development financing conditional on peace
  • Long-term: Support multilateral rather than bilateral conflict resolution
  • Strategic: Demonstrate responsible stakeholder role; avoid military assistance that escalates tensions
  • Regional: Work with ASEAN rather than undermining regional mechanisms

For International Community

  • UN: Provide technical support for border demarcation; standby peacekeeping if requested
  • World Bank/ADB: Develop peace dividend financing packages
  • EU: Support civil society peacebuilding and democratic governance
  • Academic/Civil Society: Track two dialogues and public opinion research
  • Media: Responsible reporting that doesn’t inflame nationalist sentiment

12. Conclusion: The Path Forward

The Thailand-Cambodia border conflict represents both a crisis and an opportunity for Southeast Asia. As the most serious military confrontation between ASEAN members in over a decade, it has exposed fundamental weaknesses in regional conflict resolution mechanisms and threatened economic integration achievements of the past decades.

Critical Takeaways

  1. Colonial legacies remain unresolved: The Franco-Siamese border agreements of 1904-1907 continue to generate conflict over a century later, demonstrating the importance of definitively settling historical grievances.
  2. Nationalism constrains compromise: Domestic political dynamics in both countries make territorial concessions politically toxic, requiring creative solutions that allow leaders to claim victory.
  3. Economic interdependence is necessary but insufficient: Despite significant bilateral trade and Cambodian labor dependence on Thailand, economic ties did not prevent war, suggesting that deeper structural integration is needed.
  4. ASEAN mechanisms require reform: The current framework proved unable to prevent escalation or enforce ceasefires, undermining ASEAN’s credibility and centrality.
  5. Great power involvement is double-edged: While US pressure effectively brokered the July ceasefire, US-China competition creates risks of proxy dynamics that could inflame rather than resolve the dispute.
  6. Regional stability is fragile: The conflict demonstrates how quickly trade networks can collapse and how vulnerable regional integration projects are to bilateral disputes.

The Singapore Angle

For Singapore, this conflict crystallizes several strategic dilemmas:

Economic opportunity vs. regional stability: While Singapore-based firms benefit from trade diversion, long-term prosperity requires stable and integrated ASEAN markets.

ASEAN credibility: Singapore’s vision of ASEAN centrality and rules-based regional order is undermined by the organization’s inability to manage this crisis effectively.

Great power navigation: Singapore must balance between US security partnerships and Chinese economic relationships while both powers support opposing parties.

Supply chain resilience: The conflict validates Singapore’s strategy of maintaining diverse partnerships and advanced logistics infrastructure capable of adapting to disruptions.

Most Likely Outcome

Based on current trajectories, a “frozen conflict” scenario (35% probability) appears most likely over the next 12-18 months. The ceasefire will likely hold in fragile form, with periodic violations and skirmishes but not full-scale warfare. Neither government will possess the political mandate or domestic consensus necessary for meaningful territorial compromise. The border will remain militarized, trade constrained, and humanitarian suffering persistent.

This outcome, while avoiding the catastrophic costs of full war, nevertheless represents a serious setback for ASEAN integration and regional prosperity. It will durably reconfigure supply chains, redirect trade flows, and undermine investor confidence in mainland Southeast Asia.

However, the managed de-escalation scenario (40% probability) remains achievable if several conditions align: sustained international pressure, effective ASEAN mediation, leadership changes favoring compromise, and visible confidence-building measures that restore minimal trust.

Windows of Opportunity

Several developments could shift the trajectory toward peace:

  1. Leadership transitions: Elections or political changes that bring moderate leaders with strong mandates and willingness to compromise
  2. Economic pressure: Mounting costs of continued conflict forcing pragmatic reassessment of nationalist positions
  3. International incentives: Large-scale development financing and trade benefits conditional on comprehensive peace settlement
  4. Mediation breakthrough: Creative proposals for joint sovereignty, heritage management, or land swaps that allow both sides to claim victory
  5. Confidence-building success: Small cooperative projects (landmine clearance, economic zones, cultural exchanges) that demonstrate mutual benefits and build trust

Final Reflections

The Thailand-Cambodia conflict is fundamentally about competing visions of sovereignty, nationalism, and historical justice. Neither party will achieve their maximal territorial claims through military force or diplomatic pressure. The only viable path forward is negotiated compromise that recognizes both nations’ legitimate interests while prioritizing the welfare of millions of people living in border regions.

For ASEAN and the broader international community, the challenge is to transform this crisis into a catalyst for institutional reform and innovative conflict resolution. The regional architecture built over decades is being stress-tested. If ASEAN can successfully facilitate a comprehensive settlement, it will demonstrate renewed relevance and capability. If it fails, the consequences extend far beyond Thailand and Cambodia to the future of regional cooperation itself.

The border that divides Thailand and Cambodia is ultimately arbitrary—a line drawn by colonial administrators over a century ago. The temples, forests, and communities that straddle this border belong to a shared regional heritage. The question is whether 21st-century leaders have the wisdom and courage to move beyond inherited disputes toward a cooperative future that serves their people’s interests. The answer will shape Southeast Asia for generations to come.


Appendices

Key Dates Timeline

  • 1904-1907: Franco-Siamese treaties establish border
  • 1962: ICJ awards Preah Vihear temple to Cambodia
  • 2008-2011: Previous cycle of border violence
  • May 28, 2025: First skirmish of current conflict
  • July 24-28, 2025: Five-day war
  • July 28, 2025: Kuala Lumpur ceasefire
  • October 26, 2025: Expanded peace agreement
  • November 2025: Landmine incident; Thailand suspends ceasefire
  • December 7-8, 2025: Renewed fighting and air strikes

Key Statistics

  • Border length: 817 km
  • Casualties (July): 38-48 deaths, 300,000+ displaced
  • Economic losses: $5+ billion in trade disruption
  • Evacuations (December): 385,000 Thai civilians ordered to evacuate
  • Migrant workers at risk: 1.2 million Cambodians in Thailand
  • Pre-conflict trade: $10.45 billion annually
  • Tourism decline: 70% drop at Preah Vihear

Further Reading

  • International Court of Justice, Case Concerning the Temple of Preah Vihear (1962)
  • ASEAN Secretariat, ASEAN Political-Security Community Blueprint 2025
  • UN Security Council, Emergency Session on Thailand-Cambodia Border Conflict (July 25, 2025)
  • “The Preah Vihear Dispute: Legal and Historical Perspectives,” Asian Journal of International Law
  • Media reports: Reuters, CNN, BBC, The Straits Times, Bangkok Post, Phnom Penh Post